Functional Near Infrared Spectroscopy (fNIRS) is an emerging neurological sensing technique applicable to optimizing human performance in transportation operations, such as commercial aviation. Cognitive state can be determined via pattern classification of functional activations measured with fNIRS. Operational application calls for further development of algorithms and filters for dynamic artifact removal. The concept of using the frequency domain phase shift signal to tune a Kalman filter is introduced to improve the quality of fNIRS signals in real-time. Hemoglobin concentration and phase shift traces were simulated for four different types of motion artifact to demonstrate the filter. Unwanted signal was reduced by at least 43%, and the contrast of the filtered oxygenated hemoglobin signal was increased by more than 100% overall. This filtering method is a good candidate for qualifying fNIRS signals in real time without auxiliary sensors.